How a Horse Inspired Technology that Can Save Auto Insurers and Consumers $4 Billion

*SCOTTSDALE, AR / ACCESSWIRE / May 17, 2023 / *In a world where technology continues to reshape various industries, there are unexpected sources of inspiration that pave the way for groundbreaking innovations. One such example is the fascinating story of how a horse served as the unlikely muse behind a transformative technology that has the potential to revolutionize the auto insurance landscape. This innovative solution has the power to save both insurance companies and consumers an estimated $4 billion, unlocking a new era of efficiency, accuracy, and cost savings.

The Insurance Research Council estimates fraud from inflated auto claims costs insurers and consumers $8 billion annually. In 1988, insurance fraud expert, Randall Sorensen, CPA CFF was hired to review an auto claim being made by a real estate agent for $200,000. Upon reviewing her tax return, Mr. Sorensen noted that the claimant was depreciating a horse. Writing off livestock isn't against the law but it needs to be related to income producing property. The "stud" horse wasn't generating any income but he was generating thousands of dollars in tax deductions that saved thousands in social security and income taxes. Randall Sorensen prepared a record request that asked for financial documents by *specific title* (i.e. depreciation file, r/e listing agreements, disbursement journals, etc.). The claimant failed to provide a single document and quickly dropped her claim. The insurance company didn't have to prove fraud because the claimant did a stellar job of that on her own.

Fast forward to April of 2023. A DIY home flipper was making a six-figure claim due to a car accident. Once again Mr. Sorensen requested real estate documents and tax returns. The plaintiff attorney thought this was a policy limit slam dunk. However, failing to correctly report their income, the legal mediator didn't accept the LOE documentation as presented and awarded $0 in lost income. This prevented the insurance company from paying a fraudulent claim of $100,000.

During the last 35 years technology has developed at warp speed. In contrast, recordkeeping has seen few if any changes.

Mr. Sorensen took his experience of reviewing more than two thousand claims and testifying 100 times and created an AI called Lost Wage Assistant. The program instructs claims adjusters what documents to request in order to prove loss of earning claims. Fifty percent of claimants will fully cooperate but fifty percent will morph into the invisible man. Cheating is cool until you get caught.

According to the Insurance Research Council, auto insurers are currently paying 58% of lost income claims. In contrast, statistics compiled utilizing Lost Wage Assistant show an LOE payout of 29%. This represents a decrease of 50%. Auto insurers utilizing LWA could cut inflated claims by $4 billion a year ($8 billion x 50%). This would translate into reducing claim costs to State Farm $270 million, Progressive and Geico, $225 million, Allstate $171 million and USAA $100 million. The possibility of a recession is looming and LWA would keep hundreds of dollars in the pockets of consumers. Mr. Sorensen stated, "I'm retiring and I'm looking to sell Lost Wage Assistant to the highest bidder." LWA will provide 125 years of claims knowledge to adjusters and prevent the payment of inflated claims to allow auto insurance companies to maintain their market share for decades.

Randall Sorensen, CPA has been practicing accounting for 40 years and has specialized in forensic accounting for over 35 years. Randall Sorensen's accounting practice is located in Scottsdale, Arizona.

*ABOUT*

EZ DOC Corporation was founded by Randall C. Sorensen in November of 1995. The company develops intellectual software solutions for law offices, insurance companies, and mortgage companies. In addition to being a CPA, he is Certified in Financial Forensics and has been licensed in Insurance, Real Estate, and Securities.

*Contact Information:*
Name: Randall Sorensen, CPA
Phone: 480.344.2970
Email: rsorensen@ezdoc.net
Location: Scottsdale, Arizona
Website: www.lostwageassistant.com

*SOURCE: *EZ DOC Corporation
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